Stocks slip in Asia as oil climbs, bonds retreat

Business Recorder reported that Asian share markets mostly fell on Monday as oil prices rose again, with doubts that the United States and Iran would reach a truce soon. Brent crude gained 2.1%, reaching $106.49 per barrel, and is up almost 18% so far this month, while US crude added 1.5% to $93.84. The South Korean market slid 2.4%, while Japan's Nikkei was flat. Higher energy costs also kept bonds under pressure, with a heavy schedule of economic releases due this week.

Over the weekend, President Donald Trump turned down an Iranian plan aimed at reopening the Strait of Hormuz, claiming Tehran was desperate for a deal. He said negotiations would carry on this week, although Iran has not signalled any willingness to soften its demands.

Several central banks have raised interest rates, and the Reserve Bank of Australia is likely to tighten again when it meets on Tuesday. Markets now put a 66% chance on another Federal Reserve rate hike at the October meeting, which would be its second in a row. The 30-year Treasury yield edged up to 5.5185%, close to its highest level since 2004.